Legislative update: Internet tax moratorium extended to December 11

Internet tax moratorium extended to December 11

The Internet Tax Freedom Act has been extended until December 11, 2015, as part of a continuing resolution to fund the federal
government through December 11, as passed by Congress and signed by President Obama on September 30, 2015. The
legislation prevents state and local governments from taxing internet access, or imposing multiple or discriminatory taxes on electronic
commerce. States and localities that had imposed and enforced taxes on internet access prior to October 1, 1998, may continue to
do so under “grandfather provisions” (seven states impose tax internet access). With this most recent extension, the original three-year moratorium enacted in 1998 will have been extended a total of six times (including temporary extensions).

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